factual

What business activities is a Gold Star franchisee permitted to engage in at the retail location?

Gold_Star Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 1.6 Permitted Activities. FRANCHISEE shall engage at the Retail Location only in the business of operating the Store and only pursuant to the System and this Agreement. FRANCHISEE shall not engage in the Business at any other location, provided that FRANCHISEE shall be permitted to make delivery orders with its own employees in the Protected Territory so long as FRANCHISEE abides by COMPANY's policies and procedures then in effect with respect to delivery services. FRANCHISEE shall not manufacture, sell, advertise for sale, provide or give away any products or services at the Retail Location other than the products and services designated or approved from time to time by the COMPANY in the Manual or otherwise in writing (collectively the "Products"). The conditions expressed herein are for the purpose of ensuring quality control and uniformity.

Source: Item 23 — Receipts (FDD pages 53–163)

What This Means (2025 FDD)

According to the 2025 Gold Star Franchise Disclosure Document, a franchisee is permitted to operate a Gold Star store at the retail location, adhering strictly to the Gold Star system and the franchise agreement. Franchisees are allowed to make delivery orders within their protected territory using their own employees, provided they follow Gold Star's policies and procedures for delivery services.

However, franchisees are restricted from engaging in any business activities beyond operating the Gold Star store. They cannot operate a Gold Star business at any other location outside of the retail location specified in the franchise agreement.

Moreover, franchisees are prohibited from manufacturing, selling, advertising, providing, or giving away any products or services at the retail location that have not been designated or approved by Gold Star in the manual or in writing. This condition is in place to ensure quality control and uniformity across all Gold Star locations.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.